Abstract
Irrigated crop production on the Texas High Plains accounts for more than 80 percent of the value of total crop production in the region. Total economic activity associated with crop production was estimated to be $2.18 billion in 1967 [11]. Because of the importance and contribution of irrigation to the regional economy, any significant adjustments in irrigation create repercussions throughout the region.The price of natural gas within Texas is not subject to interstate regulations. Since 1973, dramatic increases in natural gas price (from $0.50 to more than $2.00/mcf) in the state have caused considerable concern about the economic feasibility of continued irrigation. Research was conducted to estimate the effect of continuing natural gas price increases on irrigation [8].
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